Forex reserves rise $2.8 billion to a new high of $692.3 billion

Mumbai: The Reserve Bank of India‘s foreign exchange reserves rose to a fresh high of $692.3 billion in the week ended September 20, latest data showed.

Reserves rose by $2.8 billion last week and were primarily driven by foreign currency assets that surged by $2 billion to $605.6 billion.

The RBI likely absorbed inflows into local stocks and bonds from foreign investors. The stated position of the RBI is that it intervenes in the market to prevent excess volatility in the currency and does not target particular levels in the exchange rate.

Foreign investors have invested $10.9 billion in Indian stocks and bonds in September so far, the highest monthly inflow this calendar year, NSDL data showed.

In the week ended September 20, the Indian rupee logged its best week in the year, appreciating 0.4% to end at 83.485 per US dollar, LSEG data showed.